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Earnings Call Transcript

Tamilnad Mercantile Bank Earnings Call Transcript: Key Takeaways

Tamilnad Mercantile Bank delivered record quarterly results for Q1 FY27, characterized by 23% total business growth and the highest ever net profit in its 105-year history.

Guidance and delivery
Revenue guidance 18.0% → 20.0% Raised by 2.0 percentage points
Management target Revenue 20.0% FY27
Highlights
Revenue growthTotal business grew 23% YoY; Net Interest Income up 32%.
MarginsNet Interest Margin expanded 45 basis points YoY to 4.29%.
Demand visibilityStrong momentum in RAM segments; MSME growth accelerating beyond 20%.
Management confidenceExtremely optimistic, highlighting record-breaking profit and 105-year history.

Growth

High-quality growth was driven by a 28% increase in RAM advances and 32% growth in net interest income.

Outlook

Management raised FY27 guidance for advances growth to 22% and total business growth to 20%.

Risks

Gold loan dependency remains high at 47.82%, and a ₹17 crore ED penalty presents a lingering legal overhang.

Source

Earnings Call Transcript filed with NSE, NSE: TMB. Summary written with AI assistance from the document.

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Tamilnad Mercantile Bank Ltd: key numbers

Share price
₹881.90
Market cap
₹13,965 Cr
Revenue (annual)
₹5,819 Cr
Net profit (annual)
₹1,338 Cr
P/E (TTM)
9.7×Sector 22.0×
Promoter holding
0.00%+0.00% QoQ
FII holding
6.73%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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